Retirement: what I wish I knew
Retirement -
We are excited to launch new TAL research which helps shed light on the retirement needs of Australians. What I wish I knew about retirement helps deepen the understanding of the expectations of pre-retirees today, and examines the lived experience of current retirees. While it was clear that retirement looks different for everyone, the results provide valuable insights into the opportunities for super funds to provide members with additional support as they approach retirement, and might also offer beneficial insights for funds as they continue building retirement solutions.
Last week, we hosted representatives from across our partners for a TAL Partner Forum: Retirement, where we shared insights from the research and our new whitepaper, and collaborated on solutions for key topics we’re all facing. It was exciting to feel the energy and determination from across the group, and a shared passion to build a sector that empowers and supports Australians to enjoy their retirement years with confidence.
Some highlights from the research:
Expectations vs reality
A recurrent theme among retirees was that life didn’t always go to plan. Many respondents reported expecting to retire between the ages of 65 and 69 but nearly 60% retired earlier. Often this was due to unplanned events like redundancy or sickness, reinforcing the need for early preparation for retirement.
Running out of super during their lifetime is a cause for concern for two in five pre-retirees, while one-third of retirees (34%) now expect to live longer than they anticipated when they first retired. But despite uncertainties around how much super is enough and how long it needs to last, many retirees would have liked the confidence to spend more freely, with 28% wishing they’d enjoyed their early retirement years more.
The big opportunity for super funds
Unsurprisingly, as people approach retirement, they become more engaged with their finances. Our research shows that in the years immediately prior to retirement there is a significant upturn in engagement. Despite this high engagement, one in three don’t know what they’re going to do with their superannuation when they retire and they’re looking for support.
Our research shows that it’s their super fund that the majority of Australians look to for guidance on financial decisions when planning retirement. This presents as a clear opportunity for funds to make the most of a member’s high level of engagement by providing education to increase financial literacy and support good decision making. This reinforces the value of the relationship and means it can be more likely that members are retained for life.
Find out more
Download the whitepaper today and get in touch with our team to find out how you can help your members retire with confidence.